Levi Strauss & Co (LEVI) 2026 Q2 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Levi Strauss & Company's second-quarter fiscal 2026 earnings conference call for the period ending May 31, 2026. (Operator Instructions) This conference call is being recorded and may not be reproduced in whole or in part without written permission from the company. This conference call is being broadcast over the Internet, and a replay of the webcast will be accessible for one quarter on the company's website, levistrauss.com.

各位女士、先生，大家好，歡迎參加 Levi Strauss & Company 截至 2026 年 5 月 31 日期間的 2026 會計年度第二季財報電話會議。(接線員指示) 本次電話會議將被錄音，未經公司書面許可，不得全部或部分重製。本次電話會議將透過網際網路直播，網路直播重播將於公司網站 levistrauss.com 提供一個季度供存取。

I would now like to turn the call over to Aida Orphan, Vice President of Investor Relations at Levi Strauss & Company.

現在我想把電話交給 Levi Strauss & Company 投資人關係副總裁 Aida Orphan。

Thank you for joining us on the call today to discuss the results for our second quarter of fiscal 2026. Joining me on today's call are Michelle Goss, our President and CEO; and Harmit Singh, our Chief Financial and Growth Officer.

感謝各位今天加入我們的電話會議，一同討論 2026 會計年度第二季的業績結果。今天與我一同出席的還有我們的總裁暨執行長 Michelle Goss，以及我們的財務暨成長長（Chief Financial and Growth Officer）Harmit Singh。

We'd like to remind you that we will be making forward-looking statements based on current expectations, and those statements are subject to certain risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are detailed in our reports filed with the SEC. We assume no obligation to update any of these forward-looking statements.

我們提醒各位，我們將基於目前的預期發表前瞻性陳述，而這些陳述受某些風險與不確定性影響，可能導致實際結果與前瞻性陳述所述存在重大差異。這些風險與不確定性已在我們向 SEC 提交的報告中詳述。我們不承擔更新任何前瞻性陳述的義務。

Additionally, during this call, we will discuss certain non-GAAP financial measures, which are not intended to be a substitute for our GAAP results. Definitions of these measures and reconciliations to their most comparable GAAP measure are included in our earnings release available on the IR section of our website, investors.levistrauss.com. Please note that Michelle and Harmit will be referencing organic net revenues or constant currency numbers unless otherwise noted, and information provided is based on continuing operations.

此外，在本次電話會議中，我們將討論若干非 GAAP 財務衡量指標，這些指標並非用來取代我們的 GAAP 結果。這些指標的定義以及與最可比 GAAP 指標的調節表，已包含於我們的財報新聞稿中，可於我們網站投資人關係（IR）專區 investors.levistrauss.com 取得。請注意，除非另有說明，Michelle 與 Harmit 將引用有機淨營收或固定匯率（constant currency）數字，且所提供資訊係基於持續營運（continuing operations）。

Finally, this call is being webcast on our IR website, and a replay of this call will be available on the website shortly. Today's call is scheduled for one hour, so please limit yourself to one question at a time to allow others to have their questions addressed.

最後，本次電話會議將於我們的 IR 網站進行網路直播，重播也將於稍後在網站上提供。今天的電話會議安排為一小時，為了讓其他人也能提問，請各位一次只提一個問題。

And now, I'd like to turn the call over to Michelle.

現在，我想把電話交給 Michelle。

Thank you, and welcome, everyone, to today's call. We're pleased to report another strong quarter, with Q2 exceeding expectations across the top and bottom line. These results highlight the strength of our business model, underpinned by the enduring power of our iconic brand, and how we're driving growth across markets, channels, categories, and consumer demographics.

謝謝，歡迎各位參加今天的電話會議。我們很高興報告又一個強勁的季度，第二季在營收與獲利兩端均超出預期。這些成果凸顯我們商業模式的韌性，其基礎來自我們經典標誌性品牌的長久力量，以及我們如何在各市場、通路、品類與消費者族群中推動成長。

The progress we're delivering today is the direct result of the strategic choices we've made to sharpen our focus and unlock the full potential of the Levi's brand, choices that have positioned us to capture our highest return growth opportunities. As we continue to evolve into a DTC-first lifestyle company, we are driving more consistent and faster growth, expanding our addressable market and improving our profitability.

我們今天所交出的進展，直接來自我們所做的策略性選擇：聚焦重點並釋放 Levi's 品牌的全部潛力；這些選擇使我們得以掌握報酬率最高的成長機會。隨著我們持續演進為以 DTC 優先（DTC-first）的生活風格公司，我們正推動更一致且更快速的成長，擴大可觸及市場（addressable market），並提升獲利能力。

Quarter after quarter, our results demonstrate that our strategies are working and momentum is building. And we believe we are still in the early innings of unlocking the full opportunity ahead with more ways to win than ever before. Let's now turn to the details of the quarter. As a reminder, all numbers Harmit and I will reference are on an organic basis.

一季又一季，我們的成果證明策略正在奏效，動能也在累積。我們相信，我們仍處於釋放未來全部機會的早期階段，且比以往擁有更多致勝方式。現在讓我們進入本季細節。提醒各位，Harmit 與我所引用的所有數字皆以有機（organic）基礎計算。

We delivered solid top-line performance this quarter, with organic net revenues up 6%. Our international markets continue to demonstrate strong momentum, led by a 12% increase in Asia, while the US delivered a 6% increase. Our direct-to-consumer business continues to lead our growth, with revenue up 8% and comparable sales up 6% in Q2, delivering our 17th consecutive quarter of comp growth.

本季我們交出穩健的營收表現，有機淨營收成長 6%。我們的國際市場持續展現強勁動能，其中亞洲成長 12% 領先，而美國成長 6%。我們的直營面向消費者（direct-to-consumer）業務持續引領成長，第二季營收成長 8%，同店銷售成長 6%，達成連續第 17 季同店成長。

Global wholesale increased 3%, led by strength in the US wholesale channel. Our evolution into a denim lifestyle brand is enabling us to continue to drive outsized performance in women's, up 11% in the quarter. And we further extended our leading market share position in both men's and women's, reflecting the strength of our brand, impactful marketing, and a steady pipeline of product innovation.

全球批發業務成長 3%，主要由美國批發通路的強勢表現帶動。我們朝丹寧生活風格品牌的演進，使我們得以持續推動女性品類的超額表現，本季成長 11%。我們也進一步擴大在男裝與女裝的領先市占地位，反映出品牌力、具影響力的行銷，以及穩定的產品創新管線。

Importantly, top-line momentum translated into strong bottom-line delivery with margin expansion and strong earnings growth. On the strength of our performance, we're raising our full-year sales and EPS guidance. Harmit will share more shortly.

重要的是，營收端的動能轉化為強勁的獲利端表現，帶動毛利率擴張與強勁的盈餘成長。基於我們的表現，我們上調全年銷售與 EPS 指引。Harmit 稍後將分享更多細節。

I'll now walk you through highlights from the quarter in the context of our strategies. Our first strategy is to be brand-led, powered by a best-in-class global marketing team that moves with agility and keeps Levi's firmly at the center of culture around the world. In Q2, we continued to build on our global Behind Every Original campaign, following its successful launch of the Super Bowl earlier this year. The campaign features a dynamic mix of cultural voices across music, sport, and fashion, including Doechii, Questlove, and basketball superstar SGA.

接下來我將在我們策略的脈絡下，帶各位回顧本季重點。我們的第一項策略是以品牌為核心（brand-led），由世界級的全球行銷團隊驅動，以敏捷方式運作，讓 Levi's 穩居全球文化中心。在第二季，我們持續深化全球「Behind Every Original」行銷活動；該活動於今年稍早在超級盃成功推出。此活動匯聚音樂、運動與時尚等領域多元且具影響力的文化聲音，包括 Doechii、Questlove，以及籃球巨星 SGA。

In line with our strategy to align global campaigns with local relevance, we expanded the talent roster to include top local talent across key markets, including Mexican pop star and actress Belinda and leading Bollywood actress Alia Bhatt. We also activated our collaboration with K-pop superstar and Levi's brand ambassador, Rosie, through pop-up shops in key Asian markets, reinforcing our focus on growing the women's business in the region.

依循我們將全球行銷活動與在地關聯性對齊的策略，我們擴大合作名單，納入關鍵市場的頂尖在地人才，包括墨西哥流行歌手兼演員 Belinda，以及寶萊塢一線女星 Alia Bhatt。我們也透過在亞洲主要市場設立快閃店，啟動與 K-pop 巨星、Levi's 品牌大使 Rosie 的合作，強化我們在該區域擴大女性業務的聚焦。

Ahead of the global soccer championship, Levi's launched denim product collaborations with the US, Mexico, England, and France football federations. And when the soccer championship came to Levi's Stadium in June, our team turned a branding restriction into a viral marketing campaign, demonstrating our ability to operate at the speed of culture through bold, agile execution. This drove the most viewed, shared, and commented post in Levi's history, generating approximately a billion press impressions.

在全球足球錦標賽前夕，Levi's 與美國、墨西哥、英格蘭與法國足球協會推出丹寧產品聯名合作。而當足球錦標賽於 6 月來到 Levi's Stadium 時，我們的團隊將品牌露出限制轉化為病毒式行銷活動，展現我們以大膽且敏捷的執行、以文化的速度運作的能力。這促成 Levi's 歷來觀看數、分享數與留言數最高的一則貼文，並帶來約 10 億次的媒體曝光（press impressions）。

Now turning to product. As I mentioned earlier, we remain in the early innings of capturing a significant opportunity ahead. And our product engine, rooted in denim, is central to unlocking that growth.

接下來談產品。如我先前提到的，我們仍處於掌握前方重大機會的早期階段。而我們以丹寧為根基的產品引擎，是解鎖這些成長的核心。

For more than 150 years, denim has anchored the global wardrobe, outlasting virtually every trend in fashion. It began as practical workwear and yet has become a global symbol of style and self-expression. Today, the continued trend toward casualization is a structural tailwind fueling denim growth globally, and the category is projected to grow mid-single-digits annually through 2030, outpacing the category's historical growth.

150 多年來，丹寧一直是全球衣櫥的基石，幾乎歷經所有時尚潮流仍屹立不搖。它起初是實用的工作服，卻逐步成為全球風格與自我表達的象徵。如今，持續的休閒化趨勢是推動全球丹寧成長的結構性順風，而該品類預計至 2030 年將以每年中個位數的幅度成長，增速將高於該品類的歷史成長水準。

As the global market share leader in denim, Levi's is uniquely positioned to capture this opportunity, and we are accelerating that capture through a steady pipeline of innovation in fits and fabrics. In Q2, our bottoms business grew 6%, driven by strength in core fits, with newness adding incremental momentum. Looser silhouettes continued to deliver solid growth. Our 501 '90s for her and 501 loose for him were key standouts in the quarter, reinforcing both the longevity and relevance of our core icons.

作為全球丹寧市占領導者，Levi's 具備獨特優勢以掌握此一機會；我們也透過版型與布料的持續創新管線，加速擴大成果。第二季，我們的下身（bottoms）業務成長 6%，主要由核心版型的強勢表現帶動，而新品也帶來額外動能。較寬鬆的輪廓（silhouettes）持續帶來穩健成長。本季亮點包括女性的 501 '90s 與男性的 501 loose，進一步強化我們核心經典款的長青性與相關性。

We're also seeing continued strength across a range of other silhouettes, including our Cinch Baggy franchise, wide-leg and low-loose in women's, and relaxed and bootcut in men's. Importantly, our core fits across skinny, slim, bootcut, and straight continue to make up the majority of our bottoms business, reflecting our healthy and diversified bottoms portfolio.

我們也看到其他多種輪廓持續強勁，包括 Cinch Baggy 系列、女裝的 wide-leg 與 low-loose，以及男裝的 relaxed 與 bootcut。重要的是，我們在 skinny、slim、bootcut 與 straight 等核心版型仍占下身業務的大多數，反映我們健康且多元化的下身產品組合。

Our push into categories beyond denim bottoms has expanded our total addressable market and contributed roughly a third of our top-line growth in the quarter. This reflects our strong progress in expanding our assortment for summer, creating more warm-weather head-to-toe offerings for our consumers.

我們推進至丹寧下身以外的品類，擴大了我們的整體可觸及市場，並在本季貢獻約三分之一的營收成長。這反映我們在擴充夏季產品組合方面取得的良好進展，為消費者打造更多適合暖和天氣的全身穿搭（head-to-toe）選擇。

We're seeing strength across key summer categories, including lightweight denim, linen shirts, and dresses. Our expanded shorts assortment is also resonating, with the category up 11% in the quarter. In Women's, we also saw exceptional strength in seasonal trends, including white denim, which grew 70%.

我們在關鍵夏季品類上看到全面走強，包括輕量丹寧、亞麻襯衫與洋裝。我們擴增的短褲品項組合也引發共鳴，該品類本季成長11%。在女裝方面，我們也看到季節性趨勢表現格外強勁，包括白色丹寧，成長達70%。

Strong in-store execution is bringing these assortments to life through compelling merchandising, outfitting, and seasonal storytelling. We're making great progress in our evolution into a true head-to-toe denim lifestyle destination, and our tops business remains a meaningful opportunity to expand our total addressable market.

強而有力的門市端執行，透過吸引人的商品陳列、整套穿搭與季節性故事行銷，讓這些品項組合更具生命力。我們在朝向真正「從頭到腳」的丹寧生活風格目的地演進上取得重大進展，而我們的上衣業務仍是擴大整體可觸及市場（TAM）的重要機會。

In Q2, tops were up 5% or up 7% when excluding the impact of the European distribution center transition last year. Newer categories like blouses, wovens, sweaters, and polos are driving strong growth, outpacing legacy categories like graphic tees.

第二季上衣成長5%；若排除去年歐洲配送中心轉換的影響，則成長7%。襯衫上衣、梭織、毛衣與Polo等較新的品類帶動強勁成長，增速超越圖案T恤等既有品類。

As these legacy categories continue to mature within our portfolio, we're actively refining how we invest across our traditional and newer styles to maximize the opportunity, and we expect the business to accelerate in the second half of the year.

隨著這些既有品類在我們的產品組合中持續成熟，我們正積極精進在傳統與新興風格之間的投資配置，以最大化機會，並預期下半年業務將加速成長。

Blue Tab continues to gain traction as the most premium expression of our brand. Importantly, Blue Tab is introducing the Levi's brand to a new consumer, and we are already seeing early share gains at the premium end of the category. While still in the early stages, we see significant runway ahead as we scale the business, unlocking a sizable premium segment that remains under-penetrated for Levi's today.

Blue Tab持續作為我們品牌最頂級的呈現而獲得更多動能。重要的是，Blue Tab正把Levi's品牌介紹給新的消費者，我們已在該品類的高端市場看到初步市占提升。雖仍處於早期階段，但隨著我們擴大規模，我們看見前方仍有顯著成長空間，可解鎖一個對Levi's而言目前仍滲透不足的可觀高端細分市場。

Now shifting to our strategy to become a best-in-class DTC-first retailer. Our global direct-to-consumer business was up 8% in Q2 and comprised 51% of total company revenue in the quarter. Comparable sales were up 6%, underscoring the strength of our retail execution with gains across key store KPIs, including UPT and AUR.

接著談我們成為同級最佳、以DTC優先的零售商之策略。我們全球直營消費者（DTC）業務在第二季成長8%，本季占公司總營收的51%。同店銷售成長6%，凸顯我們零售端執行力的強勁，並在多項關鍵門市KPI上取得提升，包括UPT與AUR。

Our continued efforts to premiumize the site experience and elevate our online assortment drove another strong quarter in our e-commerce channel, up 17%. E-comm growth was fueled by solid performance across all key metrics, including increased traffic, better conversion, higher UPT, and AUR growth as we reduced promotional activity on our site.

我們持續致力於提升網站體驗的高端化並強化線上商品組合，帶動電商通路再度繳出強勁一季，成長17%。電商成長來自所有關鍵指標的穩健表現，包括流量增加、轉換率提升、UPT提高，以及在我們降低網站促銷活動後帶動AUR成長。

This business has grown almost 60% over the past three years, yet still only comprises approximately 12% of our overall revenues, remaining underpenetrated versus peers, and representing a meaningful opportunity for continued growth. This quarter, we welcomed 3 million new members to our loyalty program, bringing global membership to nearly 50 million. We're continuing to enhance the program through more personalized experiences and leveraging our data to deliver more relevant and connected interactions.

該業務在過去三年幾乎成長60%，但仍僅約占我們整體營收的12%；相較同業滲透率仍偏低，代表仍有具意義的持續成長機會。本季我們的會員忠誠計畫新增300萬名新會員，使全球會員數接近5,000萬。我們持續透過更個人化的體驗強化該計畫，並運用數據提供更相關且更連結的互動。

Global wholesale was up 3%, reflecting strength across customers in US wholesale. The women's business was a particular standout, and sell-out trends across the US wholesale channel remain healthy. Globally, our wholesale partners are increasingly leaning into our diversified lifestyle assortment, reflecting strong consumer demand and confidence in our broader offerings.

全球批發業務成長3%，反映美國批發客戶的強勁表現。女裝業務尤其突出，而美國批發通路的終端銷售（sell-out）趨勢仍維持健康。在全球範圍內，我們的批發合作夥伴愈來愈倚重我們多元化的生活風格商品組合，反映消費者需求強勁，並對我們更廣泛的產品供給具信心。

Now turning to our third strategy, powering the portfolio. While international represents approximately 60% of our business today, we see significant runway ahead, with many markets still early in their growth journey. This quarter, international revenue grew 6%, led by double-digit gains in Asia and Latin America.

接著談第三項策略：驅動產品組合。雖然國際市場目前約占我們業務的60%，但我們仍看到顯著的成長跑道，許多市場仍處於成長旅程的早期階段。本季國際營收成長6%，由亞洲與拉丁美洲的雙位數成長所帶動。

This year, we celebrate 60 years of the Levi's brand in Mexico, our second-largest market globally and a key contributor to international performance, with Q2 growth of 15%. Supported by strong brand equity, Mexico remains both a meaningful revenue driver and a cultural and strategic hub. Across Latin America, momentum is accelerating, with double-digit growth led by Brazil, the Andes, and Colombia. We see continued opportunity to build on this strength through store openings, e-commerce, and wholesale expansion.

今年我們慶祝Levi's品牌在墨西哥60週年；墨西哥是我們全球第二大市場，也是國際表現的關鍵貢獻者，第二季成長15%。在強勁品牌資產的支持下，墨西哥仍是重要的營收驅動來源，同時也是文化與策略樞紐。在整個拉丁美洲，動能正在加速，由巴西、安地斯地區與哥倫比亞帶動雙位數成長。我們看到可透過展店、電商與批發擴張，持續在此基礎上深化成長的機會。

In Asia, performance was strong across markets, with Q2 growth led by Turkey, Japan, and India. In China, we are beginning to see signs of progress, supported by new leadership and improvements in product and execution. While still early, we're encouraged by a return to growth and improving underlying trends.

在亞洲，各市場表現強勁，第二季成長由土耳其、日本與印度領先。在中國，我們開始看到進展跡象，受惠於新任領導團隊以及產品與執行面的改善。雖仍在早期階段，但我們對重回成長與基本面趨勢改善感到鼓舞。

Signature, our value-focused brand, grew at a low single-digit rate in Q2 and was up 9% for the first half of the year. We expect growth to continue and build through the second half of the year, supported by an expanded lifestyle assortment, including a broader tops offering.

Signature作為我們主打高性價比的品牌，第二季以低個位數成長，上半年成長9%。我們預期成長將延續並在下半年進一步擴大，並由擴增的生活風格商品組合所支持，包括更完整的上衣供給。

Beyond Yoga was up 16%, led by strength in e-commerce. Momentum continues to be fueled by newness and expansion into lifestyle categories, including the launch of a new linen capsule, which quickly became one of the brand's top-selling collections.

Beyond Yoga成長16%，主要由電商的強勁表現帶動。動能持續來自新品推出與向生活風格品類的擴張，包括推出新的亞麻膠囊系列，迅速成為該品牌最暢銷的系列之一。

In closing, this quarter again reinforces the strength of our strategy and the progress we're making. We've sharpened our focus, elevated the Levi's brand, and raised our level of execution, building a stronger and more durable business. While we remain mindful of the external environment, the momentum we're seeing across our strategic priorities gives us confidence in the path ahead.

總結來說，本季再次強化了我們策略的韌性與我們所取得的進展。我們聚焦更清晰、提升Levi's品牌定位，並提高執行水準，打造更強健且更具持久性的業務。儘管我們仍留意外部環境，但在各項策略優先事項上所見到的動能，讓我們對前方道路充滿信心。

I want to thank our teams around the world for their relentless focus on the consumer and the disciplined execution that continues to drive our results. With that, I'll turn it over to Harmit. Harmit?

我要感謝全球各地的團隊，始終如一地以消費者為核心並以紀律執行，持續推動我們的成果。接下來我把時間交給Harmit。Harmit？

Thank you, Michelle. Q2 was another strong proof point that our profitable growth algorithm is working. We exceeded expectations on both the top and bottom lines, expanded margins, delivered strong EPS growth, and generated significantly stronger free cash flow.

謝謝你，Michelle。第二季再次有力證明我們的獲利成長演算法正在發揮作用。我們在營收與獲利兩端都超出預期，擴大毛利率，帶來強勁的每股盈餘（EPS）成長，並產生顯著更強的自由現金流。

This quarter, once again, reflected the power of the end, growth across wholesale and DTC, the US and international, women's and men's, tops and bottoms, units and AUR. Our recently expanded TAM contributed roughly one-third of revenue growth, reinforcing the traction of our denim lifestyle strategy.

本季再次展現我們在各面向的強大動能：批發與DTC、美國與國際、女裝與男裝、上裝與下裝、銷量與AUR皆有成長。我們近期擴大的整體可觸及市場（TAM）約貢獻了營收成長的三分之一，進一步印證我們丹寧生活風格策略的牽引力。

Improving flow-through remains a priority, and Q2 showed clear progress. Gross margin expanded despite pressure from tariffs, and disciplined SG&A management converted top-line growth into stronger-than-expected bottom-line delivery. Given our solid first-half performance and business momentum, we are passing the entire Q2 beat and raising our full-year revenue and EPS outlook for the second consecutive quarter. I'll walk you through the details shortly.

提升流轉率（flow-through）仍是優先事項，而第二季顯示出明確進展。儘管關稅帶來壓力，毛利率仍擴大；同時，對SG&A的紀律性管理，將營收成長轉化為優於預期的獲利表現。基於上半年穩健表現與業務動能，我們將第二季超預期的成果全數反映，並連續第二季上調全年營收與EPS展望。我稍後會帶各位看細節。

Before discussing Q2 results, I'll update you on two infrastructure initiatives that support our transformation into a DTC-first lifestyle company. First, an update on our distribution network transformation. We completed the remap of Europe to an omnichannel distribution network at the end of quarter two, consolidating e-commerce fulfillment into our distribution centers in Germany and the UK.

在討論第二季結果之前，我先更新兩項基礎建設計畫，這些計畫支援我們轉型為以DTC優先的生活風格公司。首先，更新我們配送網路轉型的進度。我們已在第二季末完成歐洲重新配置為全通路配送網路，並將電商履約整合至位於德國與英國的配送中心。

We are seeing benefits in operational efficiency, distribution expense leverage, and profitability in Europe. In the US, we remain on track to complete the transition of Hebron, our own distribution center, to Maersk by the beginning of the fourth quarter. The transition has taken longer than planned as we balanced strong demand with the operational shift.

我們在歐洲已看到營運效率、配送費用槓桿與獲利能力的改善效益。在美國，我們仍按計畫在第四季初前完成將Hebron（我們自有配送中心）移交給馬士基（Maersk）的轉換。由於我們在強勁需求與營運轉換之間取得平衡，這項轉換所需時間比原先規劃更長。

As we exit parallel operations and consolidate into the new network, we expect to eliminate duplicative costs, simplify the operating model, and improve inventory and service levels. We also reached a major milestone in our global ERP transformation, migrating Asia and Beyond Yoga onto our new global platform after the successful transition in North America.

隨著我們退出平行運作並整併至新網路，我們預期可消除重複成本、簡化營運模式，並改善庫存與服務水準。我們也在全球ERP轉型上達成重要里程碑：在北美成功轉換後，已將亞洲與Beyond Yoga遷移至我們新的全球平台。

Europe and the remaining Latin American countries are on track for completion by mid-2027. Once complete, the company will operate on a single ERP, enabling faster decision-making, supporting our DTC-first model, all while creating the foundation to scale AI and automation globally.

歐洲及其餘拉丁美洲國家正按計畫於2027年年中完成。一旦完成，公司將在單一ERP上運作，使決策更迅速、支援我們以DTC優先的模式，同時為在全球擴展AI與自動化奠定基礎。

Now moving to our Q2 results. Net revenues increased 8% reported and 6% organic. This is despite a two-point drag from last year's Europe distribution center transition. Gross margin was better than expected and expanded 10 basis points to 62.7%. Lower product costs and pricing actions were tailwinds. Tariffs and foreign exchange were a headwind in the quarter.

現在轉到我們的第二季業績。淨營收按報告口徑成長8%，按有機口徑成長6%。這是在去年歐洲配送中心轉換帶來2個百分點拖累的情況下達成的。毛利率優於預期，提升10個基點至62.7%。較低的產品成本與定價措施帶來助力。關稅與外匯在本季則形成逆風。

Adjusted SG&A increased 6.5%, primarily reflecting higher selling expenses and unfavorable foreign exchange. As a percentage of revenue, however, adjusted SG&A leveraged 80 basis points, underscoring the discipline and scalability of our cost structure.

調整後SG&A增加6.5%，主要反映較高的銷售費用以及不利的外匯影響。然而，以營收百分比計，調整後SG&A槓桿改善80個基點，凸顯我們成本結構的紀律與可擴展性。

As a result, adjusted EBIT margin expanded 70 basis points to 9%, reflecting our ability to convert top-line growth into margin expansion. Adjusted EBIT dollars also grew 18%, much faster than revenue growth. This flow-through drove adjusted diluted EPS of $0.28, ahead of our guidance, and represented growth of 27% year over year.

因此，調整後EBIT利潤率擴張70個基點至9%，反映我們將營收成長轉化為利潤率擴張的能力。調整後EBIT金額亦成長18%，遠快於營收成長。這樣的流量轉化帶動調整後稀釋EPS達0.28美元，高於我們的指引，並較去年同期成長27%。

We ended Q2 with inventory down 7%, with a healthy mix of current products across regions reflecting stronger inventory management and continued progress in reducing excess and obsolete. For the full year, we expect inventory dollars to be slightly above last year but below expected sales growth, positioning us to service back-to-school and holiday demand.

第二季結束時，庫存下降7%，各區域現行產品組合健康，反映更強的庫存管理，以及持續降低過剩與呆滯庫存的進展。就全年而言，我們預期庫存金額將略高於去年，但低於預期銷售成長，讓我們能夠滿足返校季與假期需求。

Building on a strong Q1 performance, in quarter two, adjusted free cash flow increased nearly 60% year over year to $231 million, driven by business momentum and improved working capital. Turning to our capital allocation strategy, our approach remains disciplined and balanced, prioritizing high ROI growth opportunities while returning at least 55% to 65% of free cash flow to shareholders through dividends and opportunistic share repurchases.

在第一季強勁表現的基礎上，第二季調整後自由現金流年增近60%至2.31億美元，受惠於業務動能與營運資金改善。談到我們的資本配置策略，我們的方法仍然嚴謹且均衡，優先投入高ROI的成長機會，同時透過股利與機會性庫藏股回購，將至少55%至65%的自由現金流回饋股東。

In 2026, our capacity to return capital is even stronger, supported by Dockers sales proceeds and execution of our ASR. Consistent with this commitment, we are increasing our quarter three quarterly dividend by $0.02 to $0.16 per share, double our annual increase over each of the past two years, reflecting confidence in our earnings and free cash flow generation.

在2026年，我們回饋資本的能力將更強，並由Dockers出售所得以及我們ASR的執行所支撐。與此承諾一致，我們將第三季季度股利提高0.02美元至每股0.16美元，為過去兩年每年增幅的兩倍，反映我們對獲利與自由現金流創造能力的信心。

Now let's review the key highlights by segment. The Americas delivered 7% growth, with the US up 5% on momentum in both DTC and wholesale. Operating margin declined 40 basis points, driven by the unfavorable impact of tariffs and the favorable impact of cost initiatives and pricing actions.

現在讓我們按事業部回顧關鍵亮點。美洲地區成長7%，其中美國在DTC與批發兩端動能帶動下成長5%。營業利潤率下降40個基點，原因是關稅的不利影響，以及成本措施與定價行動的有利影響相互作用。

Europe declined 1% in quarter two, reflecting last year's distribution center transition, while first-half revenue grew mid-single-digit, consistent with our full-year guidance. Underlying trends remain healthy, with DTC up 7% and strength in key markets, including Germany and the UK. Q2 operating margin increased nearly 400 basis points to 21.1%, driven by gross margin strength and lower distribution expenses.

歐洲第二季下滑1%，反映去年配送中心轉換的影響，而上半年營收則呈中個位數成長，符合我們的全年指引。基本趨勢仍然健康，DTC成長7%，且在德國與英國等關鍵市場表現強勁。第二季營業利潤率提高近400個基點至21.1%，受惠於毛利率走強與配送費用降低。

Looking ahead, we are encouraged by high single-digit wholesale pre-order growth for H2. In Asia, net revenues increased 12%, fueled by double-digit growth across both DTC and wholesale. Performance was strong across markets as consumers continued to gravitate towards our expanded denim lifestyle assortment. Operating margin was 15%, expanding 350 basis points versus prior year, driven by revenue acceleration, gross margin strength, and SG&A leverage.

展望未來，我們對下半年批發預購呈高個位數成長感到鼓舞。在亞洲，淨營收成長12%，由DTC與批發雙雙達到兩位數成長所帶動。各市場表現強勁，因消費者持續偏好我們擴充的丹寧生活風格產品組合。營業利潤率為15%，較去年擴張350個基點，受惠於營收加速、毛利率走強以及SG&A槓桿改善。

Now turning to guidance, based on our strong first-house performance and business momentum, we are raising our full-year outlook. The tariff environment continues to be uncertain, and our updated guidance continues to assume incremental US tariffs on imports from China at a 30% rate and the rest of the world at 20%. Our guidance does not assume any benefit from potential tariff refunds, which are approximately $80 million paid to date.

現在轉到財測指引，基於我們上半年強勁表現與業務動能，我們上調全年展望。關稅環境仍具不確定性，我們更新後的指引仍假設美國對自中國進口加徵30%的額外關稅，對世界其他地區加徵20%。我們的指引未假設任何潛在關稅退稅的利益，截至目前已支付約8,000萬美元。

For the full year, we are raising our revenue outlook and now expect reported net revenues to increase 7% to 7.5% and organic net revenues to be up 5.5% to 6%. This assumes foreign exchange is a 150-basis-point tailwind to sales versus our previous expectation of a 100 basis point benefit, all of which has already been realized in H1.

就全年而言，我們上調營收展望，現預期按報告口徑淨營收成長7%至7.5%，按有機口徑淨營收成長5.5%至6%。此假設外匯對銷售帶來150個基點的順風，高於先前預期的100個基點助益，而這些助益已在上半年全部實現。

Gross margin is now expected to expand approximately 10 basis points to prior year, driven by the structural drivers of our business, higher DTC, women's and international, along with reduced promotional levels and cost efficiencies. We expect adjusted EBIT margin to be 12% for the full year, a continuation of the sequential margin improvement we've seen over the past several years, while taking proactive decisions to reinvest in the infrastructure investments that I highlighted earlier and net new store openings.

毛利率現預期較去年擴張約10個基點，受惠於我們業務的結構性驅動因素、較高的DTC占比、女性與國際業務成長，以及促銷水準降低與成本效率提升。我們預期全年調整後EBIT利潤率為12%，延續過去數年所見的逐季利潤率改善，同時也會主動做出決策，重新投資於我先前提到的基礎設施投資以及新增門市開設。

And we are raising our adjusted diluted EPS expectations by $0.04 to the range of approximately $1.46 to $1.52, up from our previous range of $1.42 to $1.48. And with regards to store openings, we continue to expect to open [50% to 60%] net new doors this year, with the majority of net openings weighted to the second half of the year.

我們也將調整後稀釋EPS預期上調0.04美元至約1.46至1.52美元區間，高於先前的1.42至1.48美元區間。至於展店方面，我們仍預期今年淨新增門市數將增加[50%至60%]，且多數淨新增將集中在下半年。

For quarter three, we expect reported and organic net revenues to be up 4% to 5% for the quarter, reflecting no expected benefit from foreign exchange. Gross margin is expected to expand around 10 basis points versus prior year to 61.8%, despite a roughly 70 basis points FX headwind.

就第三季而言，我們預期本季按報告口徑與有機口徑的淨營收將成長4%至5%，反映不預期外匯帶來任何助益。儘管外匯對毛利率約有70個基點的逆風，毛利率仍預期較去年擴張約10個基點至61.8%。

Adjusted EBIT margin leverages approximately 10 basis points to 11.9%. This translates to an adjusted diluted EPS of approximately $0.34 to $0.36, which includes a $0.02 to $0.03 headwind from a higher tax rate and foreign exchange impacting gross margin.

調整後EBIT利潤率槓桿改善約10個基點至11.9%。這對應的調整後稀釋EPS約為0.34至0.36美元，其中包含因較高稅率以及外匯影響毛利率所帶來的0.02至0.03美元逆風。

A few comments on the phasing of EBIT margins in the second half. H1 margins adjusted for the Q1 timing of A&P were up 30 basis points. We expect that progression to continue into Q3. The EBIT expansion becomes more pronounced in Q4 as we begin to lap the full impact of tariffs in Q4 last year, less FX pressure on gross margin, the normalization of A&P spending, reduced duplicative distribution costs, and continuing to drive SG&A discipline.

關於下半年EBIT利潤率的節奏，我補充幾點。上半年利潤率在調整第一季A&P時點因素後，上升30個基點。我們預期這一進展將延續至第三季。第四季EBIT擴張將更為明顯，因我們開始消化去年第四季關稅的完整影響基期、毛利率所受外匯壓力減輕、A&P支出正常化、重複的配送成本降低，以及持續推動SG&A紀律。

The underlying message is consistent. We are converting revenue growth into higher earnings and stronger profitability. And as a result, we expect to end the year with adjusted EBIT margins up 60 basis points, continuing our trajectory over the last three years.

核心訊息一致。我們正在把營收成長轉化為更高的獲利與更強的盈利能力。因此，我們預期年底調整後EBIT利潤率將提升60個基點，延續過去三年的軌跡。

In closing, our results demonstrate a healthy long-term growth algorithm with mid-single-digit revenue growth, expanding margins, strong earnings acceleration, healthy cash flow, and disciplined capital returns. With a strong first half and positive business trends, we are passing through the Q2 beat and raising our full-year top-line and bottom-line outlook for the second consecutive quarter.

最後，我們的結果展現健康的長期成長方程式：中個位數營收成長、利潤率擴張、獲利加速成長、健康的現金流，以及有紀律的資本回饋。在上半年強勁表現與正向業務趨勢帶動下，我們反映第二季優於預期的表現，並連續第二季上調全年營收與獲利展望。

We remain confident in our path to $10 billion in revenue and 15% operating margin, supported by an expanded TAM and a clear roadmap for profitable growth. And with that, I'll open the line for Q&A.

我們仍對達成100億美元營收與15%營業利潤率的路徑充滿信心，並由擴大的TAM以及清晰的獲利成長路線圖所支撐。接下來我將開放問答。

(Operator Instructions) Laurent Vasilescu, BNP Paribas.

(接線員指示) Laurent Vasilescu，法國巴黎銀行。

Good afternoon, Michelle and Harmit. Thanks for taking my questions. I've got two questions here. First is on US wholesale. I think you mentioned Signature grew -- Signature grew high teens last quarter. I think it was up low single digits this quarter. Curious to know what you're seeing with the more value-based consumer and channel overall.

下午好，Michelle 和 Harmit。謝謝讓我提問。我有兩個問題。第一個是關於美國批發。我想你們提到 Signature 上季成長——Signature 上季成長在十幾個百分點的高段。我想這一季是低個位數成長。想了解你們對更偏價值導向的消費者，以及整體通路的觀察。

And then the second question is on Europe. Europe DTC grew 7% organically this quarter versus 5% last quarter. So DTC is actually accelerating. Curious to know how should we think about European DTC for the third quarter. And are you still confident that Europe as a whole should grow mid-single-digits in the second half with pre-books still up high-single-digits? Thank you very much.

第二個問題是關於歐洲。歐洲 DTC 本季有機成長 7%，相較上季 5%。所以 DTC 其實是在加速。想請教我們該如何看待第三季的歐洲 DTC。另外，在預訂（pre-books）仍年增高個位數的情況下，你們是否仍有信心歐洲整體在下半年應可達到中個位數成長？非常感謝。

Great, thanks, Laurent, for your questions. I'll take the first one on Signature and then pass it over to Harmit on Europe. So, overall, we see Signature as an important business for us. It is on the smaller side, about $300 million annually.

很好，Laurent，謝謝你的提問。我先回答第一個關於 Signature 的問題，接著把歐洲的部分交給 Harmit。整體而言，我們認為 Signature 對我們來說是一項重要業務。它的規模相對較小，每年約 3 億美元。

And we do expect it to accelerate in the back half. But I do think it's important when we look at this quarter relative to Q1, you take that in total, and Signature was up 9% in the first half. And so we see that in the second half being either high single-digit to low double-digits, and we see a lot of opportunity.

我們確實預期它在下半年會加速。但我認為重要的是，當我們把本季相對於第一季一起看、以整體上半年來看，Signature 上半年成長 9%。因此我們預期下半年會落在高個位數到低雙位數成長，我們也看到很多機會。

It's a solid, resilient business. They're taking sort of a page out of a called the Levi's Red Tab playbook and really leaning in to newness into lifestyle offerings and that's resonating. We see opportunity in tops in the women's business, in particular. In Signature, women's is only 30% of the business. And so we see an outperformance there with women's and we expect that to continue.

這是一個穩健、具韌性的業務。他們有點借鑑所謂 Levi's Red Tab 的打法，並且更著力於生活風格（lifestyle）新品，這樣的策略正在引起共鳴。我們看到女裝上衣（tops）特別有機會。在 Signature 中，女裝只占業務的 30%。因此我們看到女裝表現優於整體，並預期這種趨勢會持續。

So I think to your to your question on the health of that value-based consumer, we're optimistic there. And in fact, I think overall, our consumer is proving to be quite resilient. Signature satisfies an important part of our segmentation strategy on that more value-oriented consumer, but we're seeing health with that consumer with our core consumer and even on the premium side of things.

所以回到你關於價值導向消費者健康度的問題，我們對此感到樂觀。事實上，我認為整體而言，我們的消費者展現出相當的韌性。Signature 滿足了我們分眾策略中、較偏價值取向消費者的重要一環；但我們也看到核心消費者，甚至高端（premium）端的消費者都維持健康。

So with wholesale, you'll always see some variations quarter to quarter. Really important to look at it in the totality. And like I said, 9% first half and we're expecting that to accelerate in the back half of the year. And then over to Harmit on Europe.

至於批發業務，每一季之間總會有些波動。更重要的是要從整體來看。如我所說，上半年成長 9%，我們預期下半年會加速。接著把歐洲的部分交給 Harmit。

So, Laurent, on Europe, so Europe, as you know, given the timing of Dorsten last year, which is the distribution center, which is off to the races, I'll talk about it in a second, but Europe was up 5% in the first half. That's consistent with our full-year guide. Demand remains strong, and the business is really driving margin expansion as my remarks reflected. The strength is across most markets. It includes the UK, Germany, and Italy.

Laurent，關於歐洲，如你所知，因為去年 Dorsten（配送中心）的時點因素——它現在運作非常順利，我等一下會再說——歐洲上半年成長 5%。這與我們全年指引一致。需求仍然強勁，而業務也確實在推動毛利擴張，正如我剛才的說明所反映。強勁表現涵蓋多數市場，包括英國、德國與義大利。

So if you just take Dorsten, what's the impact of Dorsten in quarter two? It's about 8 percentage points. So Europe in sort of minus 7 would have been -- sorry, minus 1 would have been plus 7. So that's fact number one. Your question about DTC. DTC has accelerated in quarter two.

如果只看 Dorsten，第二季 Dorsten 的影響約為 8 個百分點。大約是 8 個百分點。所以歐洲若把約 -7 的影響拿掉——抱歉，應該說扣除約 -1 的影響後，本來會是 +7。這是第一個事實。你問到 DTC。DTC 在第二季確實加速。

And your question about Q3 and 4, we expect DTC to be mid to high single-digit. I mean, that's the expectation. But wholesale is a big piece of the business. And as you heard from my remarks, our pre-books are up high single-digit, reinforcing confidence in H2 and the full-year outlook.

至於你問第三季與第四季，我們預期 DTC 會是中到高個位數成長。這就是我們的預期。但批發在業務中占比很大。而如你在我剛才的說明中聽到的，我們的預訂（pre-books）年增高個位數，強化了我們對下半年以及全年展望的信心。

So that's our perspective. And I just want to spend a minute on profitability. You heard it in the prepared remarks. Our gross margins are up over 300 basis points. Distribution costs are down 100 basis points because the entire -- the vision of what we were trying to do on distribution is coming to life. And Europe was the first to go at it. And operating margins are up dramatically. So I think overall, Europe is in a good spot. And unlike some of the other folks, we're not seeing that. And we're ready for the hot weather, warm weather, as Michelle reflected in her remarks.

這就是我們的看法。我也想花一點時間談談獲利能力。你在事先準備的發言中也聽到了。我們的毛利率提升超過 300 個基點。配送成本下降 100 個基點，因為我們在配送端想要達成的整體願景正在落地實現。而歐洲是第一個推動的地區。營業利益率也大幅提升。所以我認為整體而言，歐洲處於良好狀態。而且不同於其他一些同業，我們沒有看到那些問題。我們也已為炎熱、溫暖的天氣做好準備，正如 Michelle 在她的發言中提到的。

Very helpful. Thank you very much and best of luck.

非常有幫助。非常感謝，祝你們好運。

Thank you.

謝謝。

Matthew Boss, JPMorgan.

Matthew Boss，摩根大通（JPMorgan）。

Thanks and congrats on another nice quarter. So two-part question. Michelle, 6% organic revenue growth on top of 9% growth a year ago. Could you speak to areas of strength that you're seeing across categories and elaborate on the expansion in the brand's total addressable market that you cited as tied to the expanded assortment?

謝謝，也恭喜又交出一個不錯的季度。我有一個兩段式問題。Michelle，在去年同期成長 9% 的高基期之上，本季有機營收仍成長 6%。你能否談談你們在各品類看到的強勁領域，並進一步說明你提到的、因擴大產品組合而帶動品牌整體可觸及市場（TAM）擴張的部分？

And then, Harmit, if you could just walk through drivers behind the sequential moderation that you embedded in the back half revenue outlook, I think it's roughly 4%, relative to the front half up roughly 8%. Just any change in consumer behavior to date that you've seen across regions, or is this just more taking a prudent outlook?

另外，Harmit，你能否說明一下你們在下半年營收展望中所納入的、相較上半年約 8% 成長、下半年約 4% 的逐季放緩，其背後的驅動因素？截至目前你們是否在各地區看到任何消費者行為的變化，還是這只是採取更審慎的展望？

Okay. Do you want to --?

好的。你要不要--？

Yeah, so I'll kick it off with what we're seeing to date. So I think what's really exciting, Matt, is that we are seeing broad-based growth. We're seeing it across channels, genders, categories, and geographies. And it's a direct reflection of our strategy continuing to fuel that momentum.

好，我先從目前我們看到的情況談起。Matt，我覺得很令人振奮的是，我們看到的是廣泛性的成長。成長出現在各通路、各性別、各品類以及各地區。這也直接反映我們的策略持續推動這股動能。

If you take channel as an example, both DTC and wholesale were, again, positive in the quarter. As you know, DTC up 8%, wholesale up 3%. And wholesale actually contributed more to the beat, if you will. But as expected, we expect DTC to be that outperformer as we continue to have a lot of runway there.

以通路為例，本季 DTC 與批發再次都呈現正成長。如你所知，DTC 成長 8%，批發成長 3%。而且如果你要說「超預期」的貢獻，批發其實貢獻更大。但如預期，我們仍預期 DTC 會是表現更突出的那一塊，因為我們在那裡仍有很長的成長跑道。

If you take gender, again, fantastic quarter on women's up 11% double-digit again with a steady growth in the men's business, which is highly mature. It's worth mentioning on men's and women's, I did mention in my prepared remarks, that number one market share position and gaining share. And this is on the bottoms business not even speaking through our expanded addressable market.

以性別來看，女裝本季再次表現非常出色，成長 11%，再度達到雙位數；男裝業務則維持穩健成長，而男裝本身已相當成熟。值得一提的是，無論男裝或女裝，我在事先準備的發言中提到，我們在市占率上排名第一，且仍在擴大市占。而這還只是下身（bottoms）品類的表現，尚未把我們擴大可觸及市場的部分納入討論。

So we're really pleased with that category. Again, we saw growth in both tops and bottoms. Bottoms up 6%. Tops up 5%, but we were impacted by this Europe Dorsten distribution shift. So it's actually up 7%. I think what's really great on both fronts is that we're seeing innovation fuel the growth on both tops and bottoms.

所以我們對這個品類非常滿意。同樣地，我們看到上衣（tops）與下身（bottoms）都成長。下身成長 6%。上衣成長 5%，但受到歐洲 Dorsten 配送轉換的影響。因此若排除該影響，實際上是成長 7%。我認為兩者都很棒的一點是，我們看到創新正在推動上衣與下身的成長。

On bottoms, while we have a solid business and more traditional fits, we're seeing loose, baggy, new fabrications drive momentum. Tops, we're seeing outperformance in these newer categories that really complete the head-to-toe outfitting. Blouses, button downs, polos, sweaters, all outperforming.

在下身品類方面，雖然我們擁有穩健的業務與較傳統的版型，但我們看到寬鬆、垮版以及新的面料開發正在帶動成長動能。在上身品類方面，我們看到這些較新的品類表現優於整體，真正補齊從頭到腳的整體穿搭。襯衫、扣釦襯衫、Polo 衫、毛衣等，全部表現優於整體。

And then geographies. Again, very exciting US market up 6% overall. I'm looking at all of our brands, Levi's and Beyond Yoga. Even Levi's very solid, up 5% and then up 6% international with a big outperformance on the Asia side, as you heard, 12%.

接著是地區表現。同樣地，美國市場非常令人振奮，整體成長 6%。我看的是我們所有品牌，包括 Levi's 與 Beyond Yoga。Levi's 也非常穩健，成長 5%；國際市場成長 6%，其中亞洲端如你們所聽到的表現大幅超越，成長 12%。

So this is the kind of report we'd like to share because, it's all working and then it really does speak to in -- in this chapter of Levi's where we're really leaning into head-to-toe denim lifestyle and you mentioned it, our expandable -- our expanded TAM is significant. We're going from playing in the denim bottoms business to apparel with a very focused view on what fits in our vision of head-to-toe denim lifestyle, and I think the team's doing a great job. And we've got a lot of upside and as we sit here today, the consumer is responding and we have more ways to win than we've ever had.

所以這就是我們想分享的這類報告，因為一切都在奏效；而且這也確實反映出 Levi's 在這個階段正大力推進「從頭到腳的丹寧生活風格」，你也提到了，我們可擴張——我們擴大的 TAM（總可服務市場）相當可觀。我們正從只在丹寧下身市場競爭，轉向服飾領域，並以非常聚焦的視角來界定哪些品類符合我們對「從頭到腳丹寧生活風格」的願景，我認為團隊做得非常好。我們還有很大的上行空間；而就今天而言，消費者正在回應，我們的致勝方式比以往任何時候都更多。

So second question, I think there was two parts to the second question. What's the moderation? Is it prudent? Is it conservative? And then what's the health of the consumer? Let me start with the consumer.

所以第二個問題，我想第二個問題有兩個部分。什麼是放緩？這是否是審慎？是否偏保守？以及消費者的健康狀況如何？我先從消費者談起。

Our consumer continues to be resilient as reflected another quarter of strong results. It's broad based across channels, geographies, and categories. So you think of the beat. It's -- geographically, it came from the US and Asia. Europe was as expected. It came from wholesale and it came from women.

我們的消費者依然展現韌性，這也反映在又一季的強勁業績上。這是跨通路、跨地區、跨品類的廣泛成長。所以你看這次超預期的部分。從地理區域來看，主要來自美國與亞洲。歐洲符合預期。成長也來自批發通路，並且來自女性品類。

Demand is really healthy because two-thirds of our growth is driven by more units and that's largely the expanded TAM and the underpenetrated areas of women and tops. And so that's point number one. Second is we are seeing strength across value, core, and premium.

需求非常健康，因為我們成長的三分之二是由更多銷量（units）所驅動，而這主要來自擴大的 TAM，以及女性與上身等滲透率仍偏低的領域。這是第一點。第二點是，我們看到從超值、核心到高端各價位帶都呈現強勁表現。

Levi's Red Tab example, group, 5% or 6%. Signature, we expect -- this is just largely a timing, we expect second half to be strong. And Blue Tab is just getting started. And so that's the first piece. Yes, there is -- under the umbrella of the macro uncertainty, I think we're feeling good about it.

以 Levi's Red Tab 為例，成長 5% 或 6%。Signature，我們預期——這主要只是時點因素，我們預期下半年會很強勁。而 Blue Tab 才剛開始起步。所以這是第一部分。是的，在宏觀不確定性的背景之下，我認為我們對此感覺良好。

To your question about second half versus first half, it is prudence, it is conservatism, and it's probably -- maybe a couple of points on DTC and maybe a little, more conservative on wholesale. Our job is to continue to beat as we've done. We take the last seven quarters, Matt. We beat in the top line, we beat in the bottom line. We've raised our guidance for two quarters in a row on a full year basis.

至於你問到下半年相較上半年的問題，這是出於審慎、偏保守的考量；可能——在 DTC 方面保守個幾個百分點，批發方面也可能稍微更保守一些。我們的工作是持續像過去一樣超預期。回顧過去七個季度，Matt。我們營收端超預期，獲利端也超預期。我們已連續兩季在全年基礎上上調指引。

So our perspective is, as Michelle said, we have more ways to win. The part of the end that you all heard, which is everything seems to be working, is what we hope carries us through the year.

所以我們的觀點是，如 Michelle 所說，我們有更多致勝方式。你們剛剛聽到的最後那部分——也就是看起來一切都在奏效——正是我們希望能支撐我們走完整年的因素。

Great color. Best of luck.

資訊很有幫助。祝你們好運。

Thank you.

謝謝。

Dana Telsey, Telsey Advisory Group.

Dana Telsey，Telsey Advisory Group。

Dana, your line is open. Please make sure your line isn't muted. If you're on speakerphone.

Dana，你的線路已開通。如果你在用擴音電話，請確認你的線路沒有靜音。

I get it. It was muted. Sorry. Yeah. Congratulations and nice to see the progress, everyone. On Beyond Yoga, you mentioned -- hi. You mentioned strength in e-commerce. How is Beyond Yoga doing in the stores? What do you see the game plan for that going forward?

我知道了。剛剛是靜音。抱歉。好的。恭喜，也很高興看到大家的進展。關於 Beyond Yoga，你提到——嗨。你提到電商表現強勁。Beyond Yoga 在門市的表現如何？你們接下來對此的策略規劃是什麼？

And the marketing has been very effective. Like you had music last year, a bit of sport this year. How are you thinking about marketing for the back half of the year? Any difference from overseas or by channel or region? Thank you.

另外，行銷也非常有效。像去年你們有音樂元素，今年有一些運動元素。你們如何思考下半年行銷策略？海外市場或不同通路、地區之間會有差異嗎？謝謝。

Fantastic, okay. I'll take those two questions, Dana. So first, on Beyond Yoga, we're pleased to continue to see that nice double-digit growth of 16%, high teens again this quarter. And that's being driven by a combination of factors. It's product and really expanding beyond the traditional activewear of, say, leggings and tanks and moving into lifestyle. And that's working.

太好了，好的。Dana，我來回答這兩個問題。首先，關於 Beyond Yoga，我們很高興持續看到漂亮的雙位數成長 16%，本季再次達到高十幾%的成長。這是由多項因素共同驅動。包括產品面，確實在擴展，從傳統運動服飾（例如緊身褲與背心）延伸到生活風格品類。而且這是有效的。

I mean, they're seeing a lot of consumer resonance with casual pants, travel wear. Linen was a new platform they introduced this summer. It's done fantastic. Tops, sweaters, dresses. So that's working. We called out e-commerce because that is the biggest part of the business to date. But we are optimistic on the multi-channel approach, and you asked about stores. We're in the very early days. We have less than 20 stores, but we're learning a lot and the newer stores that we're opening are working.

我的意思是，消費者對休閒長褲、旅行穿搭的反應非常好。亞麻是他們今年夏天推出的新平台。表現非常出色。上衣、毛衣、洋裝。所以這些都在奏效。我們特別提到電商，是因為截至目前它仍是業務中占比最大的部分。但我們對多通路策略感到樂觀，而你也問到門市。我們仍在非常早期階段。我們的門市不到 20 家，但我們學到很多，而且新開的門市表現不錯。

There's a new merchandising approach. We're building slightly bigger stores so we can bring the full expression. I would also say in Beyond Yoga's standpoint, men's is an untapped opportunity. And as we've been bringing the men's category forward, that consumer is responding. So there's a lot that we're excited about in Beyond Yoga. It's still early innings for this brand, but we see a lot of green shoots on the business. So that's one.

我們採用了新的商品陳列（merchandising）方式。我們正在打造稍微更大的店型，以便呈現更完整的品牌表達。我也想說，從 Beyond Yoga 的角度來看，男裝是一個尚未被充分開發的機會。而隨著我們推進男裝品類，消費者正在回應。所以 Beyond Yoga 有很多讓我們感到興奮的地方。這個品牌仍在早期階段，但我們在業務上看到許多正向的萌芽。以上是第一點。

And then your second question is on the brand and marketing. And I tell you, the marketing team just continues to deliver. And every quarter, there are new ways for us to show up at the center of culture. And we do that globally, we do that locally, and we do have unparalleled brand heat around the world. And the strength of our brand, I mean, it's a massive competitive advantage and we do keep raising the bar.

接著你的第二個問題是關於品牌與行銷。我得說，行銷團隊持續交出成果。每一季，我們都有新的方式在文化中心露出。我們在全球做，也在在地做，而且我們在全球擁有無可比擬的品牌熱度。我們品牌的強勢——我的意思是，這是一個巨大的競爭優勢，而我們也持續拉高標準。

I think most recent example, of course, and still quite topical is around the World Cup. And here at Levi's Stadium, there was an opportunity when our logo got covered. The team saw that opportunity, leaned in, and made that into a big moment for the brand. By turning that on social media, it's our, most viewed social media campaign. We're up to a billion press impressions. And we even took that through and taking that through our flagship stores around the world and covering logos and we just launched T-shirts in a matter of weeks.

我想最近的例子，當然，而且仍然很具話題性，就是世界盃相關的活動。在 Levi's Stadium，當我們的標誌被遮住時，出現了一個機會。團隊看到了這個機會，積極投入，並把它變成品牌的一個重大時刻。透過在社群媒體上的操作，這成為我們觀看次數最高的社群媒體活動。媒體曝光（press impressions）已累積到 10 億次。我們甚至把這個概念延伸到全球的旗艦店，遮蓋標誌，並在短短幾週內就推出了 T 恤。

So it just shows the power of this culture of being fast and agile and really maximizing the moment. So we'll continue to find those type of moments in addition to. This year, we're running our Behind Every Originals campaign. We're excited about what that's doing for the business. And while that's a global campaign, we're also bringing that local.

所以這正好顯示出這種追求快速、敏捷並真正把握當下的文化力量。因此，除了其他方面之外，我們也會持續去尋找這類時機。今年，我們正在推動「Behind Every Originals」行銷活動。我們對它為業務帶來的成效感到振奮。而且雖然這是一個全球性活動，我們也會把它在地化。

So I think a great example is Rosie, who's K-pop star -- was part of, is part of that campaign. We have now developed a collaboration with her in our Asian markets. And I think you were just talking to our teams in Asia, they would say that that is absolutely fueling the business, especially with women by doing pop-ups, the product collaborations, et cetera.

所以我認為一個很好的例子是 Rosé，她是 K-pop 明星——曾經參與、也正在參與這個活動。我們現在已在亞洲市場與她開發合作。而且我想如果你去跟我們亞洲團隊聊，他們會說這絕對正在帶動業務，特別是透過快閃活動、產品聯名等等，對女性客群尤其明顯。

So the last I would say to this is, we are a brand-led company. It's an important part of our equation in winning along with product and execution. And we will continue to have this be a big part of what we do going forward. But the team's doing an outstanding job.

所以最後我想說的是，我們是一家以品牌為主導的公司。在我們致勝的方程式中，品牌與產品與執行同樣重要。而且未來我們會持續把這作為我們工作中的重要一環。不過團隊做得非常出色。

Thank you.

謝謝。

Thanks, Dana.

謝謝你，Dana。

Jay Sole, UBS.

UBS 的 Jay Sole。

Great. Thank you so much. My question is on the ERP implementation. You've made great progress, more progress. It sounds like it's going to be happening through the middle of next year. Can you just talk about when that process is finished, what it unlocks for the company, especially as you continue to move toward this DTC-first-led business and what kind of impact might it have on margins when the ERP is implemented at this time with the distribution centers up and running the way you planned? Thank you.

很好。非常感謝。我的問題是關於 ERP 導入。你們已經取得很大進展，而且進展更多。聽起來會一路推進到明年年中。能否談談當這個流程完成後，會為公司解鎖哪些能力，特別是在你們持續朝向以 DTC 優先主導的業務模式轉型之際；以及當 ERP 在此時點導入、且配送中心按你們規劃運作上線後，對毛利率可能會有什麼影響？謝謝。

I would say I'm very bullish on this. I was the executive sponsor for a couple of years. And when I first joined the company 13 years ago, we had 9 ERPs. People said, let's get to one ERP. When I saw the bill, I said, it's too much to spend less work in turning around the business and growing the top line first. So that's what we focused on.

我會說我對此非常樂觀。我曾擔任這個專案的執行贊助人好幾年。而且我 13 年前剛加入公司時，我們有 9 套 ERP。大家說，要整合成一套 ERP。當我看到預算金額時，我說這花費太高，不如先把心力放在扭轉業務、先把營收成長做起來。所以我們當時就專注在那件事上。

But the fact of the matter is the team's done a phenomenal job. And it's a collaborative process. It's not just run by technology. It's business-led, technology-enabled. And it's -- we're moving from a very disjointed, customized ERP system to standardized ERP system that's on the cloud, right? And it was important to take the -- and take it to the cloud versus keeping it on premises.

但事實是，團隊做得非常出色。而且這是一個協作流程。不只是由科技部門主導。而是業務主導、科技賦能。我們正從一個非常零散、客製化的 ERP 系統，轉向一個標準化、在雲端上的 ERP 系統，對吧？而且重要的是把它上雲，而不是繼續留在本地部署（on premises）。

The success of the project, Jay, the way we have defined it, and this is something that the Board and we partnered was the following. This is about unlocking data. It's about ensuring that the users get access to data and get access to data online -- on time and on a regular basis.

Jay，這個專案的成功，我們的定義方式——這也是我們與董事會共同對齊並合作的——如下。這是為了解鎖數據。是為了確保使用者能取得數據，並且能在線上——準時且定期地取得數據。

Example, if you think about our stores or you think about the data center -- the distribution center, on a screen on my iPad, I can see the movement of goods happening, as they happen. What's the fill rate? What's the service? What's happening in the sales? That was something we're not able to do.

舉例來說，如果你想到我們的門市，或想到資料中心——配送中心，我可以在 iPad 的螢幕上即時看到貨物流動的狀況。補貨達成率（fill rate）是多少？服務水準如何？銷售端發生了什麼？這些是我們以前做不到的。

And now we can do North America. We can see what's happening in Asia. And your question of when does this all complete, it probably is slated to complete by middle of 2027. The fact that we've got this far, not converted without any major hiccups, is a good thing.

而現在我們可以看到北美。也能看到亞洲正在發生什麼。至於你問何時全部完成，預計大概會在 2027 年年中完成。我們能走到這一步，在轉換過程中沒有出現任何重大問題，這是件好事。

And so the size of the prizes, we get there. You all have said when you change your fiscal calendar, at least once we have an ERP, we have the foundation to get that to at least think through that and make that happen very quickly. So that's really how we're thinking. And it really helps us leverage AI because of the data unlock.

所以獎勵的規模（size of the prizes）在於我們到達那一步之後。你們都曾提到，當你們調整財政年度日曆時，至少一旦我們有了 ERP，我們就有了基礎，可以去思考並且很快把那件事落地。所以這就是我們的思考方式。而且因為數據被解鎖，這也真的能幫助我們運用 AI。

Got it. Thank you so much.

了解。非常感謝。

Thanks, Jay.

謝謝你，Jay。

Rick Patel, Raymond James.

Raymond James 的 Rick Patel。

Hi, this is Suraj Malhotra on for Rick Patel. Thank you for taking our question. So how much were AUR and units up in 2Q? And can you double-click on the AUR drivers as we think about the split between pricing, promotions, and sales mix? Thanks.

你好，我是代替 Rick Patel 的 Suraj Malhotra。謝謝你們回答我們的問題。那麼第二季 AUR 與銷量（units）各自成長了多少？另外，能否更深入說明 AUR 的驅動因素，讓我們理解定價、促銷與銷售組合之間的拆分？謝謝。

Sure. So the good news is both were up. One of the things where this wonderful growth [officer] had, I think that sustainable growth is driven in my humble view and our humble view as a team by driving both. And given that we are under-penetrated in the new TAM that Matt asked about, I think driving unit growth will drive market share.

當然。好消息是兩者都有成長。我認為這位優秀的成長[主管]所做的一件事是——以我個人以及我們團隊的看法，可持續的成長是由同時推動兩者所驅動的。而且鑑於我們在 Matt 提到的新 TAM 上仍屬滲透不足，我認為推動銷量成長將帶動市占率提升。

So as you think of the quarter, two-thirds of the growth was contributed by units and a third by AUR. If you take last quarter, I think is more 50/50. Our expectation for the year is more 50/50. You take 20/25, I think it was two-thirds units and a third AUR.

所以就這一季來看，三分之二的成長來自銷量，三分之一來自 AUR。如果看上一季，我記得比較接近 50/50。我們對全年預期也更接近 50/50。你看 20/25（財年），我記得是三分之二來自銷量、三分之一來自 AUR。

And so what's benefiting the AUR, Suraj, to your question, a couple of things. One is higher mix of full price selling. We are focused on that. Continued growth in DTC because DTC has higher AURs than wholesale. Strength in premium offerings like Blue Tab. Blue Tab is at a higher price point than Red Tab. And category expansion in areas like women. So that's broadly -- those are broad factors that contribute to AUR growth. And I think you should expect to see more of a balance from us between units and AUR.

至於 AUR 受益的因素，Suraj，回到你的問題，有幾點。第一是正價銷售占比提高。我們正專注在這件事上。第二是 DTC 持續成長，因為 DTC 的 AUR 高於批發。第三是像 Blue Tab 這類高端產品的強勁表現。Blue Tab 的定價高於 Red Tab。第四是品類擴張，例如在女性品類等領域。所以大致上——這些是推動 AUR 成長的主要因素。而且我認為你們應該會看到我們在銷量與 AUR 之間更趨平衡。

Great. Thank you very much for the color.

很好。非常感謝你提供的補充說明。

Ike Boruchow, Wells Fargo.

Wells Fargo 的 Ike Boruchow。

Hey, how you guys doing? Hey, Michelle. Hey, Harmit. Two questions. How you doing? Two questions for me on margin. Probably to Harmit. So first on the current quarter, or sorry, the second quarter. Revenue is 300 basis points better, but op margin only hits the high end of your guide. So I'm surprised there was a little bit more flow through. Could you maybe talk about maybe any puts and takes that happened during the quarter?

嘿，你們最近怎麼樣？嗨，Michelle。嗨，Harmit。我有兩個問題。你們好嗎？我這邊有兩個關於利潤率的問題。可能問 Harmit。首先是關於本季——抱歉，是第二季。營收表現好 300 個基點，但營業利潤率只達到你們指引的高端。所以我有點意外沒有更多的利潤流入（flow through）。你能否談談本季期間有哪些正負因素（puts and takes）發生？

And then, Harmit, the third quarter guide I get, the implied fourth quarter on margin implies a pretty meaningful step up in expense leverage. I think it's implying margins up 150 to 200. And that's gross margins kind of similar, 3Q to 4Q, so it's all in the expense base. So can you help walk us through kind of like what are the moving pieces in SG&A that are so much more scalable when you get to the fourth quarter, maybe versus the third quarter, second quarter? Thanks.

然後，Harmit，從我拿到的第三季指引來看，所隱含的第四季在利潤率上的表現，意味著費用槓桿會有相當明顯的提升。我認為這暗示利潤率將上升150到200個基點。而且毛利率從第三季到第四季大致相近，所以提升全部來自費用基礎。所以你能否帶我們梳理一下，SG&A 裡有哪些變動因素，使得到了第四季時可擴展性更強，可能相較於第三季、第二季？謝謝。

Sure. So to your question about Q2, yes, you're right. Revenue was strong. Gross margins were really strong. Gross margins were up. And I think that was despite, I think, a slight drag on because of FX.

當然。所以針對你關於第二季的問題，是的，你說得對。營收表現強勁。毛利率也非常強勁。毛利率上升。而我認為這是在外匯（FX）帶來些許拖累的情況下仍然達成的。

SG&A was up 6.5%, a little more, largely driven by FX. A third of the SG&A increase was contributed by FX. And we did lever. I mean, yeah, you're right. We were in the top end of our range of eight to nine, but we did lever. EBIT expanded 70 basis points.

SG&A 上升了6.5%，略高一些，主要由外匯所驅動。SG&A 增加中的三分之一來自外匯。而我們確實有槓桿效益。我的意思是，是的，你說得對。我們處在8到9這個區間的上緣，但我們確實有槓桿效益。EBIT 擴張了70個基點。

If you think of the first half, because you have this Q1 spend on advertising, the first half, and I'll answer your question, EBIT margins were probably up 30 basis points if you adjust for A&P.

如果你看上半年，因為第一季有這筆廣告支出，上半年——我也會回答你的問題——若把 A&P（廣告與促銷）調整掉，EBIT 利潤率大概上升了30個基點。

And in the second half, the EBIT expansion is driven largely by three things. One is volume leverage. So volume in the second half is probably in dollar terms, probably five. As you think about the seasonality between first half and the second half, it's about 5% more in the second half of the year. That's number one.

而在下半年，EBIT 的擴張主要由三件事驅動。第一是銷量槓桿。所以下半年的銷量以金額來看，大概是5。當你考慮上半年與下半年的季節性差異，下半年全年大約多5%。這是第一點。

A&P is between first half and the second half is half a point lower, largely because of the Q1 spend. And essentially, this is skewed towards Q4. So Q4, you will see more than a year ago. And the distribution expenses, we have announced the closure of Hebron. Notice has been sent, so it's happening. And that's distribution expenses between H2 and H1 is probably a half a point better. And that's, again, essentially happening in Q4.

A&P 在上半年與下半年之間會低半個百分點，主要是因為第一季的支出。而且基本上這會偏向第四季。所以第四季你會看到比去年更多。至於配送費用，我們已宣布關閉 Hebron。通知已送出，所以這件事正在發生。而配送費用在下半年相較上半年大概會好半個百分點。而這同樣基本上會在第四季發生。

Now if you look at the Q4 P&L, let's say circa, it's about 14% EBIT. You go back to 2024, our EBIT margins in Q4 were approximately 14%. The only reason I don't go back to last year is because last year, tariffs, the impact of tariffs, which is, I think, a little over 100 basis points, really dragged the EBIT margins. And so Q4 '24 is a good proxy for Q4 2026. But looking at the different aspects, those are the things that are probably skewing Q4.

現在如果你看第四季的損益表（P&L），假設大約是14%的 EBIT。回到2024年，我們第四季的 EBIT 利潤率大約是14%。我之所以不回看去年，是因為去年關稅——關稅的影響我認為略高於100個基點——確實大幅拖累了 EBIT 利潤率。因此，2024年第四季是2026年第四季的一個不錯的參考。但從不同面向來看，這些就是可能讓第四季偏高的因素。

Does that answer your question, Ike, because this is an important question you asked?

Ike，這有回答你的問題嗎？因為你問的是一個很重要的問題。

So you're saying that the reason why you get so much more scale and the margin could be closer to 14% in the fourth quarter is because there's leverage on the A&P, there's leverage on distribution, and the tariff kind of roll off and reversal a little bit. Are those the main ones?

所以你的意思是，第四季之所以能有更多規模效益、利潤率可能更接近14%，是因為 A&P 有槓桿、配送有槓桿，關稅也有點回落與部分反轉。這些是主要因素嗎？

Yes, those are the facts. You are spot on. And sales are slightly -- Q4 is slightly -- seasonality was slightly stronger, so you leverage your fixed costs. So those are the four factors, and you captured it.

是的，這些就是事實。你說得完全正確。而且銷售也略——第四季略——季節性略強，所以你能攤薄固定成本。所以這四個因素你都抓到了。

Okay. Thank you.

好的。謝謝。

Kendall Toscano, Bank of America.

美國銀行的 Kendall Toscano。

Thanks for taking my question. Two questions actually. The first one is on tariffs. I know last quarter, you outlined a benefit of $35 million to COGS and $0.07 to EPS for the full year if lower rates persisted. So curious if any of that benefit did show up in 2Q and what you would expect for the third quarter. I know it's not included in guidance, but given that you probably have a bit more visibility into that now.

謝謝讓我提問。其實有兩個問題。第一個是關於關稅。我知道上季你們提到，如果較低稅率持續，全年可為 COGS 帶來3,500萬美元的好處，並使 EPS 增加0.07美元。所以想了解這些好處是否有任何部分已在第二季反映，以及你們對第三季的預期。我知道這沒有納入指引，但考量你們現在可能對此有更高的能見度。

And the second question was just on the USDC transition. You mentioned that taking maybe a bit longer than anticipated, and I was wondering if you could elaborate on the timing and magnitude of cost savings that you would expect now versus what you were initially anticipating for 2026. Thanks.

第二個問題是關於 USDC 的轉換。你提到進度可能比預期稍慢，我想請你進一步說明目前對成本節省的時點與幅度的看法，與你們最初對2026年的預期相比有何不同。謝謝。

Sure. So tariff, I'll break it up into two parts, Kendall, to your question. One is tariff refunds, of $80 million. We've just started applying because most of our refunds go through the reconciliation process. And there's a defined the window a week or so ago.

當然。Kendall，關於關稅，我會把你的問題拆成兩部分。第一部分是8,000萬美元的關稅退稅（refunds）。我們才剛開始申請，因為我們大多數退稅都要走對帳流程。而且大約一週前才有一個明確的窗口期。

And so we haven't built that into our -- internally, we haven't incorporated into our internal results, we are not incorporating it in our guidance, but it's substantial. And we haven't figured out what to do with it, right? Because that'll depend on the environment and a whole bunch of things.

因此我們還沒有把它納入——在內部，我們尚未把它納入內部結果，我們也沒有把它納入指引，但金額很可觀。而且我們還沒想好要怎麼處理它，對吧？因為那會取決於環境以及一堆其他因素。

To your question about the $35 million, our guidance does not assume that. There's a little bit of -- the way it works is given that our inventory turns out, are close to two, it takes a while when you bought inventory at a high cost for that to turn out. And so our view is Q2 was marginal, Q3 will be a little bit. And if it is, it'll be an upside to our numbers, but it's very difficult.

至於你提到的3,500萬美元，我們的指引並未假設這一點。其中有一點——運作方式是，考量我們的存貨周轉率接近2，當你以較高成本買進存貨後，需要一段時間才能把那批存貨消化掉。所以我們的看法是第二季影響很有限，第三季會有一些。如果真的發生，會成為我們數字的上行空間，但這非常難判斷。

The reason we didn't incorporate this is largely because the conversation on tariffs is a little fluid. There's expectation that the tariffs go back closer to the 19%, 20% level late July. And so rather than give a number and keep changing it, we just thought it prudent to just keep the tariff rates at 38% for China and 20% for the rest of the world.

我們之所以沒有把這個納入，主要是因為關稅的討論仍有些變動。市場預期關稅會在7月下旬回到更接近19%、20%的水準。因此與其給出一個數字又不斷修改，我們認為較審慎的做法是把關稅稅率維持在：中國38%，世界其他地區20%。

And to your question on distribution, the distributing costs at the end of H1 were about 20 basis points benefit. You've seen what's happening in Europe a year and a few months into it. It is largely an omnichannel setup. It leveraging the P&L as well as really helping us service demand. I think to the question about US, the slight delay is we said we'd start tapering it off in Q -- which is looking at closing Hebron towards the beginning of the second half. The demand has been really strong. You can see that from the US results.

另外針對你關於配送的問題，上半年末配送成本大約帶來20個基點的效益。你也看到歐洲那邊在推行一年多、快一年半後的情況。那基本上是一個全通路（omnichannel）的架構。它一方面改善損益表（P&L）的槓桿，另一方面也確實幫助我們滿足需求。至於美國的問題，些微延遲在於我們原本說會在第——也就是看起來會在下半年初關閉 Hebron 後開始逐步縮減。但需求一直非常強勁。你可以從美國的結果看出來。

So our decision is to start the tapering off as the quarter progresses, quarter three, close Hebron by the end of quarter three, and move things to our center in Groveport in Ohio. The cost is a couple of million. Kendall's not a lot, but it is the right call to ensure that the demand is serviced. And the fact that we have given the intent, given notice is indicative that we're serious about it.

所以我們的決定是，隨著第三季進行開始逐步縮減，並在第三季末關閉 Hebron，然後把作業移到我們位於俄亥俄州 Groveport 的中心。成本是幾百萬美元。Kendall，金額不大，但為了確保能滿足需求，這是正確的決定。而且我們已表達意向、也已發出通知，這顯示我們是認真要做的。

Appreciate the color. Thanks.

感謝補充說明。謝謝。

Bob Drbul, BTIG.

Bob Drbul，BTIG。

Hi. Good afternoon. And I just wanted to add, the World Cup marketing has been spectacular with San Francisco Stadium. That's really well done.

嗨。下午好。我只是想補充一下，世界盃在舊金山球場的行銷非常精彩。真的做得很好。

I guess the two questions that I have sort of is -- number one is, when you think about where you guys have brought the Blue Tab business, what have you learned now as you've expanded it, as you've rolled it out a bit more? And I guess the second question is just more higher level is, within the denim category itself, are you seeing any changes to the promotional environment for the category?

我想我有兩個問題——第一，當你們回顧把 Blue Tab 業務推進到現在的位置，隨著你們擴張、把它更廣泛地推出之後，你們學到了什麼？第二個問題比較高層次：在牛仔品類本身，你們是否看到該品類的促銷環境有任何變化？

Yeah, why don't we start with denim category overall? And so your specific question around promotional environment, I mean, we're obviously staying very close to this. But I think to our remarks earlier, our consumer is proving to be resilient. I think all the newness we're bringing, the value we offer, we're a durable dependable brand, I think that plays in as well as all the newness innovation.

好，我們先從整體牛仔品類談起。至於你提到的促銷環境，我的意思是，我們當然會非常密切地關注。但呼應我們先前的發言，我們的消費者展現出韌性。我認為我們帶來的所有新品、我們提供的價值、我們作為耐穿可靠的品牌，這些因素再加上所有新品創新，都在發揮作用。

So even if it gets promotional, we'll always stay close. But you've heard it. I mean, two-thirds of our increase was around unit growth, only a third on pricing. And even pricing, a lot of that is driven around our premiumization strategy, less promo. We have less promo online as an example, more full price selling. So we will always stay very close to the market and the consumer, but overall, we're feeling confident. And hence, why we felt good about increasing our guide for the balance of the year.

所以即使促銷加劇，我們也會一直緊貼市場。但你也聽到了——我們的增長中有三分之二來自銷量（件數）成長，只有三分之一來自價格。而即便是價格，其中很大一部分也是由我們的高端化策略所驅動，而不是更深的促銷。例如，我們線上促銷更少、以正價銷售更多。因此我們會始終非常貼近市場與消費者，但整體而言，我們感到有信心。也因此，我們才有把全年剩餘期間的指引上調的把握。

I would also say, by the way, as it relates to the denim category overall, historically, this has been a pretty stable category, right? It's been part of the wardrobe staple for hundreds of years as long as we've been around and we invented it. There are times where you've got fluctuations and changes in fits and styles. We drive a lot of that and it's fueling the growth.

另外我也想說，談到整體牛仔品類，從歷史上看，這一直是個相當穩定的品類，對吧？只要我們存在、而且我們發明了它，它就已經作為衣櫥必備單品存在了數百年。當然也會有一些時期出現版型與風格的波動與變化。我們在很大程度上推動了這些變化，而這也在帶動成長。

And I think what's really exciting is that if you look out -- well, first of all, the denim category has been growing, number one; number two, we're gaining share; and number three, it's expected to grow over the next five years and even outpace apparel. So feeling really good about denim category and then beyond that, we're making this big pivot to head-to-toe denim lifestyle which is increasing our addressable market by the tune of 15x.

我認為真正令人興奮的是，如果你往前看——首先，牛仔品類一直在成長，這是第一；第二，我們正在提升市占；第三，預期未來五年仍將成長，甚至會跑贏整體服飾。所以我們對牛仔品類感覺非常好；此外，我們正大幅轉向從頭到腳的牛仔生活方式，這將把我們的可服務市場擴大約 15 倍。

So these categories that were newer in like a full assortment of tops, for example, non-denim bottoms, that just prevent -- that just presents a ton of runway for us ahead and it's fueling our growth. So I think overall, we're feeling quite bullish on the denim category and how we will play in that market.

因此，像是更完整的上衣品類、例如非牛仔下身等這些較新的品類，為我們帶來非常大的成長跑道，並推動我們的成長。所以整體而言，我們對牛仔品類以及我們在該市場中的表現相當看多。

Your second question on Blue Tab, we're also very optimistic about this. I mean, as the denim leader, we should have our fair share of the premium denim segment. And we are significantly undershared in this category. We're really just getting going if you think about it. I mean, we've had versions of premium denim over time, but now we've created a complete kind of sub-brand opportunity, what we call denim luxury, which is truly the pinnacle expression of all things -- Levi's denim at higher levels. We're commanding price points like in bottoms from 200 to 350 truckers and outerwear, 250 on up.

你第二個關於 Blue Tab 的問題，我們也非常樂觀。我的意思是，作為牛仔領導者，我們理應在高端牛仔細分市場取得相稱的份額。而我們在這個品類的市占明顯偏低。如果你這樣想，我們其實才剛起步。我們過去一直有推出高端牛仔的不同版本，但現在我們打造了一個完整的子品牌機會，我們稱之為牛仔奢華（denim luxury），這是真正把 Levi's 牛仔在更高層級的各個面向推到巔峰的呈現。我們的定價帶，例如下身約 200 到 350，美式卡車夾克（trucker）與外套則從 250 起跳。

And we love what we're seeing. I mean, it was up 40% in the first quarter, up 40% against this quarter. Relatively small business today, but there's no reason why this can't be a $100 million, $200 million plus over time. So I would just say stay tuned. The consumer's responding. To your question specifically on what are we learning, I would say number one, we're learning that it doesn't have to be just denim and denim bottoms.

而我們很喜歡目前看到的表現。我的意思是，第一季成長 40%，相較於本季也成長 40%。目前規模還相對小，但沒有理由它未來不能做到 1 億美元、2 億美元以上。所以我只能說敬請期待。消費者正在回應。針對你具體問到我們學到了什麼，我會說第一點是：它不必只侷限於牛仔與牛仔下身。

So what you will see from us coming out later this year is a much more robust lifestyle assortment in bottoms, in tops, in sweaters, in shirting, et cetera. So stay tuned. And then secondly, we're still learning how to merchandise it. Where does it live in the store? How do we create the looks? So both in our stores and online, but a lot of opportunity. We're optimistic.

因此，今年稍晚你會看到我們推出更完整、更強的生活方式商品組合，包括下身、上衣、毛衣、襯衫等等。所以敬請期待。第二點，我們仍在學習如何做商品陳列與經營。它在店內應該放在哪裡？我們如何打造整體造型？所以不論在門市或線上，都還有很多機會。我們很樂觀。

Thank you.

謝謝。

Thanks, Bob.

謝謝你，Bob。

Paul Lejuez, Citi.

Paul Lejuez，花旗（Citi）。

Thanks. It's Tracy Kogan filling in for Paul. I just wanted to follow-up on the question about quarter-to-date performance. I think you said you're seeing continued momentum quarter to date, and I wasn't sure if you could clarify. Do you mean it's similar to where it was in 2Q or is it currently in line with your 4% to 5% guidance for the quarter?

謝謝。我是 Tracy Kogan，代替 Paul。我想跟進一下關於本季迄今表現的問題。我想你說你們在本季迄今仍看到動能延續，我不確定你是否可以再釐清一下。你的意思是它與第二季的狀況相近，還是目前與你們對本季 4% 到 5% 的指引一致？

Hello, Tracy. As you know, I have to say this is, which is we don't provide intra-quarter updates. What I can tell you is that the business trends continue to support our third-quarter outlook and full-year guidance. We haven't seen any meaningful change in demand. Demand remains healthy and that's why we have -- our expectation is we'll close the year balance between AUR and units. And the growth is largely broad-based with -- I know there's some concern about Europe. That's why I just want to close by saying the pre-booking Europe for the second half is encouraging and the [full sub] mid-single-digit growth for Europe for the year.

你好，Tracy。如你所知，我必須先說明：我們不提供季中更新。我能告訴你的是，業務趨勢持續支持我們對第三季的展望與全年指引。我們沒有看到需求出現任何顯著變化。需求仍然健康，這也是為什麼我們——我們的預期是，今年收官時 AUR（平均單價）與銷量（件數）會更為均衡。而成長在很大程度上是廣泛分布的——我知道市場對歐洲有一些擔憂。因此我最後想補充的是，歐洲下半年預訂（pre-booking）令人鼓舞，而且我們預期歐洲全年將有中個位數成長。

Got it. Thank you, guys.

了解。謝謝各位。

Thank you.

謝謝。

Thank you. At this time, I'd like to turn the floor over to the company for any closing remarks.

謝謝。此時，我想把時間交還給公司做結語。

Thanks, Latif. Thanks, everyone, for joining the call. Wishing everyone a great summer, and we look forward to connecting again in October.

謝謝你，Latif。謝謝大家參與這通電話會議。祝大家有個美好的夏天，我們期待在十月再次聯繫。

Thank you. This concludes today's conference call. Please disconnect your lines at this time.

謝謝。今天的電話會議到此結束。請各位現在掛線。